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GDC: Can OnLive Usurp Consoles?

Kris Graft's picture

By Kris Graft

March 24, 2009

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The OnLive Game Service makes current console makers' online strategies seem rather pedestrian.

To be officially unveiled at GDC later today, OnLive's technology bypasses physical media by streaming gameplay data to Windows or Apple platforms, as well as televisions. Videogames both old and new on the service can work on a users' desired screen, regardless of whether the game was made for Mac or PC. For TV-compatibility, a small "MicroConsole" is required, a unit that's about the size of a deck of cards.

The games are not actually installed on a computer--game data is relayed back and forth between the user's computer and powerful servers, according to a USA Today report, marginalizing the importance of the power of a gamer's "rig."

Games shown to utilize the service include Far Cry, LEGO Batman and Mirror's Edge. Sixteen are on display at GDC. There's already support from major publishers: Atari, Codemasters, Electronic Arts, Eidos, Epic Games, Take-Two Interactive Software, THQ, Ubisoft and Warner Bros. Interactive Entertainment are on board. Reports state that games run extremely well.

The firm has a solid relationship with Gears of War developer Epic Games, as Unreal Engine 3 is compatible with OnLive. UE3-based games will "easily run on the OnLive service," the company said.

OnLive said only "a few weeks" are needed to bring an existing version of a game to OnLive.

Games would launch in the same "release window" as retail, says OnLive COO Steve Perlman. "There's no physical media. It's an all-digital platform. You never need to upgrade your equipment at home."

Also part of OnLive is a live community that allows users to record and share clips, watch live games happening in action, the ability to jump into a game at any point and other social networking features.

The pricing for the service is to be announced. If too prohibitive, it could kill the service before it has the chance to gain traction.

OnLive has been in development for seven years, only emerging this week. The service launches in winter and will be available in a "variety of different pricing packages and tiers, competitively priced to retail."

Said IDC analyst Billy Pidgeon, "The service would be an anti-piracy solution and would enable quality gameplay experiences without the cost of a game console or high performance PC."

Update: Added additional info from OnLive.

x9z's picture

I would not be surprised if Microsoft has already offered huge sums of cash to onLive and are planning to take the company over few months before onLive goes live. Could the next generation of Xbox be called Xbox onLive or maybe even the Xbox 360 with a firmware update, since the web plug-in is only 1mb. More I think about it, this seems like a great business model for Microsoft, they would be able to offer games on demand and also offer games from physical media, this will help ease gamers into the transition of digital distribution and have options for those who are not ready (no internet, no credit card, fear and so on...).

Maybe this was the plan for onLive, create innovative technology and make money on selling its intellectual properties and patents. The technology seems to prove its possible, but onLive will have to sustain a monumental infrastructure and fund a huge advertising campaign for few years until it gains momentum, and a company like Microsoft with its huge dedicated user base and unlimited funds may be better suited to move the service forward and sustainable. The founder of onLive also developed the webTV which had the same business model as onLive (cheap and accessible computing for a specific need) which was also sold to Microsoft.

RazorMouse's picture

This idea has been floating around for awhile -- remember the guys that were going to do this to enable mobile gaming? Only they got it wrong... no-one wants to play Crysis on a handheld.

I find it a fascinating idea, and even more fascinating if they have actually made it work. But what about the infrastructure they need to put in place, and maintain? Has anyone done the math on what their data centres are going to co$t???

What really intrigues me, though, is the tantalizing idea that this could potentially lead to a quantum leap in game graphics -- theroretically, a service like OnLive could become a "console" platform publisher in and of itself, and develop exclusive first-party games that utilize next-generation technology, which would be entirely outside the economic reach of even the hardest-core gamegfx nuts. It's the same amount of pixels any way you look at it -- might as well be raytraced in real-time. Think the power of 16 PS3s in SLI, or more... OnLive might want such an exclusive "future" game, or special edition of a proven hit game, to drive adoption.

If you can stop worrying about upgrading your gfx card, that'll also leave a few pennies for new tactile controllers, which again could be platform-specific. Voila, a new Wii with ILM gfx...

The One X's picture

This is something that may be exciting to think about, but this is a terrible idea for the consumer. What this means is you no longer own any of your software or you computer. Everything is just a rental. New technology does not equal good, just new technology. Usually when corporations and government figure out a new technology that will allow them to have more control over their customers or citizens they are going to use it, especially when it doesn't seem so obvious. With this you are just bending over to whatever the corporation says, and you have no choice. If you don't like it you can't just stop because you lose all that software, and all your information.

SaintJude's picture

A lot of people seem to be yammering on about how this isn't possible, talking about issues like bandwidth, latency etc. However, here it is, being released in a few months. The assumption to make (and it's not an unfair assumption) is that OnLive is aware of these problems and they have been fixed or dealt with. What would be the point in spending money to release a service that doesn't work!?

This is the shape of things to come and the competition may well find itself well and trully cluster f*cked.

manhattan's picture

Hey, you misunderstand us. No one wants it to fail. And we know OnLive probably knows what its doing. We're just curious about the technology used. Sites like InstantAction.com already has implemented flash-based 3d action games but not on a scale and quality such as this. I assume they're not gonna convert "Mirror's Edge" into a flash-based game because if they did, it'll probably be nowhere near the quality of the original retail game.

SaintJude's picture

Fair enough.

It is good news but it is also a little unnerving...

Huw Jass's picture

150MB broadband is on the way (well, in the UK at least):

http://news.bbc.co.uk/1/hi/technology/7961135.stm

Rorsch's picture

This is the future gentlemen..

manhattan's picture

The amount of broadband this thing demands is mind-boggling. All in-game calculations, multi-pass rendering of polygons, anti-aliasing and god-knows-what has to be done in-server and thrown across the net to your computer or TV. And I think each player needs his own dedicated server. The signal coming from the server either has to be same kind as the one coming from your cpu to your monitor...or it can be streamed frames (jpeg or gif or whatever) or it can be an entire new thing that OnLive invented. Perhaps entire internet infrastructures in some place need to be rebuilt to accommodate something like this. Still, if it's been in development for 7 years now, they must have something good.

ReyBrujo's picture

This is the future. I don't like it, but I recognize the future when I see it, just like I recognized the importance of the Wii as soon as the controller was revealed.

Jeywig's picture

And become a slave to corporate management? I think not.
I want to play when I want ,how I want, at any time I want. I cannot imagine staring at a box while I wait for my "service provider" to get their act together when things hit the fan. I am virtually paying for something that I will never remotely own OR be able to play at will. Being that NOTHING is being saved to the console, I would feel like I am being raped each time I turn on the system in an attempt to enjoy myself.....within THEIR means of course.
This isnt about service, its about greed......I'm sorry but we dont need another monopoly.

HELLFAST's picture

This is the future of gaming....I'm glad some of the bigger 3rd parties are giving them support. I can see Nintendo adopting a simular service in the future....Maybe that's why they haven't gotten a HDD for the Wii as yet???

Anyways getting sidetracked.....I hope ONLIVE all the best, I think it's great to see them working towards something new.

Even if it isnt successful it shows what is possible with today's technology....and if they are able to get a good user base we may be looking at a new comer in the industry. Something we need badly.

Rolf_Reisgies_Jr's picture

The only appeal this holds right now is as a game rental service, as an alternative to Blockbuster or GameFly. I could see myself just doing a 5-day rental immediately online rather than having to drive to the store or wait for the mail. But only fools would actually purchase games using this service. Mostly because unlike local storage-based solutions (Steam, XBOX, PSN), if OnLive ever becomes inoperable, all the money you've spent on "buying" games through their service is immediately down the toilet. All the games would be permanently unplayable from the moment they go offline, with zero option for recovery. At least with the alterantives there's the possibility of hacks being made available to allow the games to be played again, but that will never be possible with OnLive.

x9z's picture

Not entirely true. If you bought a game for purchase through onLive and a year later they go belly up, all you would have to do is download it via a torrent service, borrow a friend's copy etc..or even call the publisher to get a new key for your lost copy of crysis or burnout to have access to it. This would not be illegal or breaking any copy right laws since you have purchased your license to have the rights to view and play all of the materials with the game in question. There for, if you were to get a letter in the mail saying "you are a pirate and we are going to take you to court," all you have to do is print up a recipe of your onLive purchase as proof you have the right to play this game.

marcryan71's picture

I think practical gaming...in high definition...using an online only model is still YEARS away from catching on. I like having my local box at home. I like having my fat hard drive to download videos and demos and keep them forever. I like being able to take my Xbox 360 to my friend's house and play there offline. I think this OnLive thing is a step in the right direction, but not something that's going to be done right for quite some time.

Dan_Chippendale's picture

the proof is in the pudding... lets see some real games being played and then we'll see what's what

Bickle's picture

This whole thing jsut screams "in the lab"

There is simply no way this will work in the real world

mentor07825's picture

I've read this article before in a game magazine, and they raised some very interesting questions. One would be the library for the service. Even though it would be huge, would old games be taken off of it? If that's the case, then we won't see those games again. Another point, which is mine, is multiplayer. Many games are multiplayer now and with the content being streamed through this service, plus the feedback required to play the game online, would be rather intensive I'd say on your broadband. Another thing is financial cost of it all. You're paying a subscription service, which is fine. But surely streaming such content on to your computer would count towards your monthly download limit? You'd be hitting your monthly limit before you know it.

Also, if this was at competitve retail prices, this would slow down the hardware industry for computers. Games and media is the drive behind making computers better and stronger.

jb1's picture

Total non starter. Bandwidth is not the issue here, latency is. The game cannot progress until your joypad input goes from your home to the game server and the server then processes the game and sends back the frame image (you have to deal in frame images if you have no real gaming hardware in your home).

Latency over the internet would result in a horrible, unresponsive mess of a game.

4thVariety's picture

That whole remote play thing is messy at home when trying it on the PS3->PsP. It sure won't get better when the average ping is added to the game's input reaction time. Streaming the game over LAN at a local trade show demo might yield good results, but once the thing hits a real internet connection, things will get messy. The ping, your ISP angry about your endless amounts of streaming data, the consumer unhappy of dying because of lag. The technical problems of a field test might be too much for many games.

But for games where tight controls don't matter, this might work. Peggle, Puzzle Quest, Adventure games, board games, turn based games, etc. [Except we want all games play like the new Prince of Persia that is.] But you did not need a supercomputer for those games to begin with, so one of their best arguments goes out the window right there. The very games requiring those "super computers" are those which also require zero delay input.

We also have to see what this is supposed to cost, but with the 360 already at $200 and NOTHING to prevent Sony and MS from doing the same stunt with some shortlived techdemo on their consoles, ONLIVE marketing really is in trouble. Before they ensnare people with never having to upgrade ever again, those same people have to be excited about playing games on that thing. Continuously upgrading the back end of the service is also a problem. Essentially you will be buying rendering time on a very fast computer. Ask around, has anybody ever turned renting out computers into a viable business on such a scale?

rahvii's picture

In any case this is epic, this could start a new revolution in gaming. Maybe will take sometime to take off since not everybody has 4MB connection for HD play, but eventually this wont be a problem.

StealthBadger's picture

Oh also, according to another website (dunno if i'm allowed to say where), they're saying the onlive box will be <$100, and you can alternatively install a ~1mb program on a pc (presumably not free), rather than using the onlive box through a tv.

rahvii's picture

Yes, and maybe you can just install the program and connect the pc to the tv.

StealthBadger's picture

This is potentially very exciting, 'though of course you won't get any nintendo games on it, or whatnot. A perusal of some other interweb sites reveals that they're quoting 1ms (i.e. negligible) lag times, 'though i'm not sure if that includes video lag, or just pack/unpack.

I'm guessing there'll be a monthly subscription fee or something. It will be interesting to see what servers are like, as there will presumably be big peaks and troughs in usage (i.e. school leaving time, etc.).

Still; very interesting development.

dreamhunk's picture

for pricing I suggest you just need to buy the hardware. use add support to pay for the service. Just like flash games and they maybe in business.

however I have to ask about lag :P

jazzbrownie's picture

I'm excited by the potential here. This could change everything.